Economic Security in Japan: Evolution, context and emerging questions

Shiro Armstrong

Discussion papers from Research Institute of Economy, Trade and Industry (RIETI)

Abstract: Japan sits at the fault line of great power strategic competition with deep economic interdependence with, and proximity to, the Chinese economy and reliance on the United States for technology and security. Japan’s integration into the global economy has underpinned its economic development and prosperity, and also its energy, food and economic security. In response to international supply chain disruptions, weaponization of trade, technology decoupling between China and the United States and greater global uncertainty, Japan has introduced new government machinery and economic security policies that aim to protect Japan’s economic security interests. Increased government intervention in the market in the pursuit of economic security is not unique to Japan, especially after the global pandemic and is complicated by the imperative of the energy transition. Japan’s economic security measures aim to enhance economic resilience and reduce risks but they come with their own risks to Japanese openness, competitiveness and productivity.

Pages: 32 pages
Date: 2024-12
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